Blog Business Entertainment Environment Health Latest News News Analysis Opinion Science Sports Technology Videos World
OCCRP’s Report on The Adani Group

In a significant development, the Supreme Court of India has directed the Securities and Exchange Board of India (SEBI) to initiate an investigation into the allegations made by Hindenburg Research against the Adani Group. The Hindenburg Report accuses the Adani Group of engaging in various financial improprieties, including "brazen stock manipulations," "accounting fraud," and the utilization of a complex network of shell companies to facilitate financial transactions.

On August 26, 2023, SEBI submitted its status report to the Supreme Court, revealing that it is currently awaiting responses from five tax havens regarding the true ownership of foreign investors involved in Adani Group's affairs. The investigation centers around potential violations of Rule 19A of the Securities Contracts (Regulation) Rules, 1957, encompassing issues related to non-disclosure of party-related agreements and allegations of stock price manipulation.

Rule 19A mandates that Indian stock market-listed companies must maintain a minimum of 25% public stockholding. It's important to note that "public" in this context refers to individuals who are not connected to the company's promoters, relatives, subsidiaries, or associates.

A recent report from The Organised Crime and Corruption Reporting Project has shed light on substantial investments by Mauritius-based funds in Adani Group companies between 2013 and 2018. These funds are believed to have originated from investors in the United Arab Emirates and Taiwan, with the funds routed through a Bermuda-based fund. There are suggestions that these entities may have been used by Vinod Adani, the brother of Gautam Adani, to invest in Adani Group stocks.

Concerns have also emerged regarding the investigative process employed by SEBI in the Adani Group case. Some parties have raised questions about whether SEBI may have suppressed crucial facts or provided inaccurate information. Doubts have been expressed regarding SEBI's findings regarding stock price manipulation and insider trading in Adani Group stocks. In contrast to SEBI's report, an Expert Committee discovered multiple alerts related to Adani's securities, further intensifying concerns.

Since the release of the report by the Organised Crime and Corruption Reporting Project, Adani Enterprises' shares have seen a decline of 5.1%. The Adani Group has vehemently rejected these allegations, branding them as "mischievous and malicious."

It is anticipated that further investigation and a comprehensive forensic audit of Adani Group companies and the suspected Foreign Portfolio Investors will be instrumental in uncovering potential economic irregularities and verifying the credibility of these reports. The nation watches closely as this investigation unfolds.

Share This Post On

Tags: #money #business #adani


Leave a comment

You need to login to leave a comment. Log-in is a Global Media House Initiative by Socialnetic Infotainment Private Limited.

TheSocialTalks was founded in 2020 as an alternative to mainstream media which is fraught with misinformation, disinformation and propaganda. We have a strong dedication to publishing authentic news that abides by the principles and ethics of journalism. We are an organisation driven by a passion for truth and justice in society.

Our team of journalists and editors from all over the world work relentlessly to deliver real stories affecting our society. To keep our operations running, We need sponsors and subscribers to our news portal. Kindly sponsor or subscribe to make it possible for us to give free access to our portal and it will help writers and our cause. It will go a long way in running our operations and publishing real news and stories about issues affecting us.

Your contributions help us to expand our organisation, making our news accessible to more everyone and deepening our impact on the media.

Support fearless and fair journalism today.